Intro Flashcards
1
Q
Profit
A
What is left over from sales and revenue after the business has paid for certain costs
2
Q
Calculation for profit
A
Total sales - total costs
3
Q
Variable costs
A
Costas that change with output
4
Q
Fixed costs
A
Costs that stay the same regardless the output
5
Q
Sales revenue
A
Total income of business resulting from sales goods or service
6
Q
Costs of sales
A
Costs directly associated with the production of a good
7
Q
Expenses
A
Costs not directly associated with the production of a good
8
Q
Gross profit
A
Sales revenue - costs of sales
9
Q
Operating profit
A
Sales revenue - costs of sales - expenses
10
Q
Exceptional item
A
Costs or revenues that a business experience infrequently
11
Q
Finance costs
A
Intrest paid on loans
Interest generated from savings
